Anyone here shifting from rentals to note investing?

[Charles Kennedy]

Lately I’ve been noticing more investors moving away from direct property ownership and getting into note investing — either buying performing notes for cash flow or non-performing ones for the upside.

I’m curious if anyone here has made that transition. What’s been your experience so far — smoother returns or more work than expected?

[Elealeh Fulmaran]

Notes can deliver smoother, steadier cash flow than rentals, but only if your diligence is tight. The real work shifts from toilets to paperwork: verify collateral value conservatively, scrub the chain of title and assignments, confirm enforceability, and study the payor’s pattern, not just their score. Performing notes feel set‑and‑forget until a servicer hiccup or insurance lapse; non‑performers can be great buys but demand clear timelines, workout tactics, and legal budget. Start small with one performing note through a reputable seller, set up servicing and insurance tracking, and build your playbook before chasing NPL upside.